#3 – Mobile data pricing

#3 Here comes the sun

Innovative mobile data price plans will reverse the trend of revenue decline

In recent years, topline revenue decline has been the trend, largely due to competition for market share in saturated markets. Contributing to this, new VoIP and messaging services from so-called ‘OTT’ service providers are eating into operator revenues. These pressures, combined with the increased cost and complexity of building and running a mobile network, will expedite the trend of operator consolidation. That, in turn, will reduce price pressures.

To take advantage of this, innovative marketing departments will lead the revolution, delivering new and compelling price plans for mobile data connectivity. Well packaged data plans will compensate for dwindling voice and messaging revenues, and will begin to correct the under-charging that has been inherent to mobile data in recent years.

Ultimately, operators will have to focus more on being a ‘connectivity provider’ and leverage the inherent positive price elasticity of data to increase overall revenues. Operators must capitalise on users’ willingness to consume and to pay for mobile broadband that is constantly improving due to strong innovation of both technology and services. For some operators, we may even see data revenues exceed voice revenues by the end of 2012.

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#4 - SIM evolution

SIMs will keep shrinking through 2012, and will eventually disappear into the cloud We are gradually moving away from traditional SIM-based cellular connectivity, towards a soft SIM future. Throughout 2012, we will see continued developments in SIM technology to further reduce size – going from recent micro SIMs to nano SIMs – and to increase [...]
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